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Acer (TPE:2353) E10 : NT$1.28 (As of Mar. 2024)


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What is Acer E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Acer's adjusted earnings per share data for the three months ended in Mar. 2024 was NT$0.400. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is NT$1.28 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Acer's average E10 Growth Rate was 1728.60% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

As of today (2024-05-21), Acer's current stock price is NT$48.25. Acer's E10 for the quarter that ended in Mar. 2024 was NT$1.28. Acer's Shiller PE Ratio of today is 37.70.

During the past 13 years, the highest Shiller PE Ratio of Acer was 488.57. The lowest was 12.41. And the median was 42.76.


Acer E10 Historical Data

The historical data trend for Acer's E10 can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Acer E10 Chart

Acer Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.36 -0.83 -0.20 0.08 1.25

Acer Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
E10 Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.07 0.14 0.85 1.25 1.28

Competitive Comparison of Acer's E10

For the Computer Hardware subindustry, Acer's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Acer's Shiller PE Ratio Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Acer's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Acer's Shiller PE Ratio falls into.



Acer E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Acer's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.4/131.7762*131.7762
=0.400

Current CPI (Mar. 2024) = 131.7762.

Acer Quarterly Data

per share eps CPI Adj_EPS
201406 0.170 100.560 0.223
201409 0.230 100.428 0.302
201412 0.230 99.070 0.306
201503 0.060 99.621 0.079
201506 0.001 100.684 0.001
201509 0.060 100.392 0.079
201512 0.080 99.792 0.106
201603 0.020 100.470 0.026
201606 0.170 101.688 0.220
201609 0.080 101.861 0.103
201612 -1.900 101.863 -2.458
201703 0.020 102.862 0.026
201706 0.080 103.349 0.102
201709 0.480 104.136 0.607
201712 0.350 104.011 0.443
201803 0.230 105.290 0.288
201806 0.290 106.317 0.359
201809 0.300 106.507 0.371
201812 0.180 105.998 0.224
201903 0.230 107.251 0.283
201906 0.130 108.070 0.159
201909 0.390 108.329 0.474
201912 0.110 108.420 0.134
202003 0.180 108.902 0.218
202006 0.400 108.767 0.485
202009 0.760 109.815 0.912
202012 0.650 109.897 0.779
202103 0.910 111.754 1.073
202106 0.960 114.631 1.104
202109 1.000 115.734 1.139
202112 0.740 117.630 0.829
202203 0.740 121.301 0.804
202206 0.570 125.017 0.601
202209 0.620 125.227 0.652
202212 -0.280 125.222 -0.295
202303 0.170 127.348 0.176
202306 0.460 128.729 0.471
202309 0.670 129.860 0.680
202312 0.340 129.419 0.346
202403 0.400 131.776 0.400

Add all the adjusted EPS together and divide 10 will get our e10.


Acer  (TPE:2353) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Acer's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=48.25/1.28
=37.70

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Shiller P/E Ratio of Acer was 488.57. The lowest was 12.41. And the median was 42.76.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Acer E10 Related Terms

Thank you for viewing the detailed overview of Acer's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Acer (TPE:2353) Business Description

Traded in Other Exchanges
Address
No. 369, Fuxing North Road, Songshan District, Taipei, TWN, 105
Acer Inc is a hardware and electronics company specializing in advanced electronics technology. Its products are sold under three brands: Acer, Gateway, and Packard Bell. It include desktop PCs, clamshell laptops, 2-in-1 laptops, convertible laptops, Chromebooks, tablets, servers, storage devices, virtual reality devices, displays, smartphones, and peripherals. A large majority of the firm's revenue is derived from personal computers and the rest from peripherals and other products. The firm generates revenue in the Americas, Mainland China, Taiwan, and other countries across the world.

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